The Praemium Ltd (ASX: PPS) share price has climbed 3% higher this morning after reporting strong gross platform inflows and record UK/International inflows in the March 2019 quarter.
What did Praemium announce this morning?
Praemium’s first quarter highlights included:
- » Combined quarterly gross platform inflows of $744 million;
- » UK/International gross platform inflows of $234 million (£127 million), the highest on record;
- » Net platform inflows of $438 million (reported for the first time); and
- » Platform FUA of $8.9 billion, up 13% over the quarter from strong inflows and improving equity
The company also noted that it had reached several important business milestones, including a highly positive response to its global rebrand and marketing campaign for Praemium’s Integrated Managed Accounts platform.
Praemium’s UK platform won “Best Fund Platform” at the City of London Wealth Management Awards (COLWMA) against a large field of nominees after the company’s International Platform of the Year win in October 2018.
Positively for the company’s growth prospects, the quarterly results noted the expansion of the company’s Virtual Managed Account (VMA) reporting solution to Morgan Stanley Wealth Management Australia, with incremental revenue of $1 million among other significant contract expansions or extensions.
Praemium also released its next-generation integrated wealth managed accounts platform to the market during the March 2019 quarter under the banner ‘Welcome to the Upgrade’.
Should you buy Praemium shares?
The Praemium share price has plunged 30% lower this year on the back of a weaker growth outlook and the loss of a couple of big contracts in recent months.
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Lachlan Hall has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Hub24 Ltd and Praemium Limited. The Motley Fool Australia owns shares of Netwealth. The Motley Fool Australia has recommended Hub24 Ltd and Praemium Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.